This is accomplished by categorizing in a consistent

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Unformatted text preview: umented in a risk management program plan. That plan, which elaborates on the SEMP, contains: • • The project's overall risk policy and objectives The programmatic aspects, of the risk management activities (i.e., responsibilities, resources, schedules and milestones, etc.) With the addition of data tables containing the results of the risk management activities, the risk management program plan grows into the project's Risk Management Plan (RMP). These data tables should contain the project's identified significant risks. For each such risk, these data tables should also contain the relevant characterization and analysis results, and descriptions of the related mitigation and tracking plans (including any descope options and/or required technology developments). A sample RMP outline is shown as Appendix B.4. The technical portion of risk management begins with the process of identifying and characterizing the project's risks. The objective of this step is to understand NASA Systems Engineering Handbook Management Issues in Systems Engineering what uncertainties the project faces, and which among them should be given greater attention. This is accomplished by categorizing (in a consistent manner) uncertainties by their likelihood of occurrence (e.g., high, medium, or low), and separately, according to the severity of their consequences. This categorization forms the basis for ranking uncertainties by their relative riskiness. Uncertainties with both high likelihood and severely adverse consequences are ranked higher than those without these characteristics, as Figure 16 suggests. The primary methods used in this process are qualitative; hence in systems engineering literature, this step is sometimes called qualitative risk assessment. The output of this step is a list of significant risks (by phase) to be given specific management attention. In some projects, qualitative methods are adequate for making risk management decisions; in others, these methods are not precise enough to understand the magnitude of the problem, or to allocate scarce risk reduction resources. Risk ana...
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This document was uploaded on 02/26/2014 for the course E 515 at University of Louisiana at Lafayette.

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